“The North Carolina Chamber supports a comprehensive approach to solving North Carolina’s transportation infrastructure crisis because the bottom line is to promote structural economic development and continue to attract and grow good jobs for the future.  We will be fully engaged in every step of the process as long-term solutions are developed.”  
North Carolina Chamber President & CEO Lew Ebert

Chamber Stresses Comprehensive Infrastructure Solutions
Business Community Vital Voice in Transportation Debate

Throughout North Carolina’s history, our economy has undergone significant change, but one element has remained the same: economic growth, prosperity, opportunity and jobs have always followed investments in infrastructure. Our Chamber understands that transportation infrastructure provides a foundation for economic development and growth.  We recognize that investments in transportation have far-reaching effects, not only on our state’s business climate and competitive position nationally and globally, but also on the overall quality of life for all North Carolinians.

North Carolina is on course to become the 7^th most populous state in the country by 2030 with 12 million people. Our state’s continuous growth has had corresponding implications for our transportation infrastructure, creating challenges around issues such as congestion, quality of roads and bridges and access to ports – to name a few.

As lawmakers consider how to prioritize state government spending this year and beyond, our Chamber will continue to emphasize the importance of strategic, well-planned infrastructure investments to North Carolina’s future, along with the need and obligation to ensure that tax dollars are spent in the most efficient, effective manner possible to maximize available revenue (both current and future revenue for transportation).  Infrastructure projects require thoughtful foresight and careful planning.  Getting transportation policies and processes right as we prepare for the next round of growth is crucial for North Carolina business and residents.  No less than the future of our economy is at stake. 

Recent Policy Recommendations
Can Lead to Long-Term Solutions

The North Carolina Chamber is seeking a comprehensive, balanced set of solutions to transportation infrastructure challenges. Over time, we would like to see a plan that addresses not only how best to raise revenue, but also how best to invest transportation dollars to most efficiently and effectively build and maintain our roads and bridges and move goods and people throughout our state.  Our Chamber anticipates working with legislators on transportation in 2008 and 2009. Because our state’s transportation challenges did not arrive overnight, we are not going to be able to arrive at a comprehensive set of solutions overnight. 

Our Chamber is encouraged that state leaders and lawmakers appear ready to take some important first steps toward addressing this key business climate issue.  The 21^st Century Transportation Committee, a legislative committee comprised of lawmakers and business leaders (including Chamber members), made recommendations from its work over the last several months this week – on the first day of the legislative session.

In striving to develop a multi-modal and intermodal vision that increases capacity, reduces congestion and improves the sustainable movements of goods and people through North Carolina, the committee recommended several key objectives to the General Assembly for consideration during the 2008 Short Session:

• Phase-out the annual transfer of $172 million from the Highway Trust Fund to the General Fund, where it pays for non-transportation items.
• Establish a “Gap Fund” that will provide resources to start construction on planned toll projects and would cover the difference between the cost of the projects and the revenue expected from toll collections.  ($45 million  in 2008-2009, $30 million in 2009-2010)
• A referendum on a transportation bond proposal ($1-$2 billion) for urban and rural roads, bridges and transit needs.
• Establishment of a Bond Oversight Committee to assure NCDOT performance.

• Creation of the Congestion Relief and Intermodal Transportation 21^st Century Fund.
• Framework for grants for intermodal transit capital projects, including urban transit and rail freight.
• Authorization of local revenue options for major urban areas to match these grants.
• Authorization of local revenue options for other urban counties, allowing them to raise additional revenues for public transportation systems.
• Extension of the State Ports Tax Credit for five years.

Our Chamber appreciates the hard work of the committee as well as the complexity of its charge.  And we know that the committee’s work will continue beyond this year.  We encourage the General Assembly to give serious consideration to all of the committee’s recommendations and begin to take action to make transportation infrastructure improvements this year. 

Transportation & NC Businesses: Fundamental Relationship

More and more we realize that transportation, in all its different modes, is a driver of economic development. North Carolina’s business community includes diverse transportation interests.  Our Chamber is well positioned to bring together all the various interests and perspectives so that good decisions are made to help ensure that our state continues to be among the most attractive in the nation to live and work.

The North Carolina Chamber is committed to addressing North Carolina’s need for safe, efficient mobility to sustain economic growth in environmentally responsible ways. Our Chamber and many of its business members have been actively involved in the process underway – by serving on the 21^st Century Transportation Committee, executing opinion polls, working with local Chambers to better understand the transportation needs of their communities, and drawing attention to the issue in the various media. 

Our Chamber looks forward to working with lawmakers to begin to move ahead on transportation infrastructure in our state.  Together with our employer members, we are focused on shaping North Carolina’s future in a positive way for the benefit of all North Carolinians.  Building real momentum around comprehensive, balanced solutions to our pressing transportation needs is in everyone’s best interest.